Why Use An Independent Property Manager vs A Traditional Franchise Agency?
Simply put, independent property managers are the best at what they do.Their core focus is property management, they generally own and run their own business, are fully accountable to you and they have made a career out of property management. Its not just a job or a progression to real estate sales. Stability and longevity is a key attribute and their skill and ability is second to non. Rest assured when you appoint an independent property manager, you are in the best hands possible.
What is an expert property manager?
A Wikipedia definition of an expert is "... a person with extensive knowledge or ability based on research, experience, or occupation in a particular area of study. An expert can be believed, by virtue of credential, training, education, profession, publication or experience, to have special knowledge of a subject beyond that of the average person. The individual is usually a profound thinker distinguished for wisdom and sound judgement."
Real expertise must pass three tests.
- First, it must lead to performance that is consistently superior to that of an average property manager.
- Second, real expertise produces concrete results.
- Finally, true expertise can be replicated and measured as far as performance.
Real Property Manager has the following attributes:-
- 2 decades hands on industry experience
- Marketed over 2,000+ rental properties
- Vetted over 3,000 tenancy applications
- Negotiated and signed over 2,500 leases
- Inspected and conducted over 1,700 property condition reports
- Performed over 5,000 maintenance and repair requests from tenants and landlords
- Project managed over 250 property renovations
- Litigated over 300 tenancy disputes
Aren't all property managers the same?
No, they are not and the service levels can range from exceptional to absolute disaster. Cheaper fees may be a draw card at the time of your selection but long term, this is not a wise strategy. Picking the wrong property manager can cost you thousands of dollars of financial loss and turn your life into a very stressful one. Aligning yourself with a quality property manager is an insurance policy in itself. The cliche of "you get what you paid for" sits firmly within the property management industry.
What type of proprieties do you manage?
- Residential and commercial dwellings
- Strata title apartments or single company title blocks
- Strata title commercial suites/offices
- Retail shop fronts and arcades
- New generation boarding houses
Which area's/suburbs do you service?
We are currently servicing the following Sydney metropolitan suburbs and area's:-
Inner West & Inner City
City Fringes & CBD
Lower North Shore
How much does it cost to manage my property?
Most real estate agencies keep their fees hidden from view (browse their websites and see what we mean). They also complicate their fee structure, don't disclose their added fees (the hidden extras) until you're signing up with them and then play the negotiation game with you - or worse still, quickly reduce their fees because they cannot find or offer you a point of difference from their competitors. Reduced fees = reduced service levels. At Real Property Manager we don't hide anything from you and make everything as transparent as possible when it comes to our service.
Popular comparison site Finder.com.au details more about fees for service..
National Property Management fee guide. Ever wondered what others are charging?
Our management fee structure rewards property investors who may have multiple properties requiring our management services in our service area's
What are our fees?
*Management fee (based on individual strata apartment, house, townhouse, retail shop or commercial suite)
- 1 x property = 5.5%
- 2 x properties = 4.4%
- 3 or more properties= 4.0%
- No other hidden or extra fees to manage such as bank charges, document preparation, postage and sundries, inspection fees or monthly and yearly financial statement fees provided you opt in to receive email only statements. Save paper and cost to you by going digital.
New Generation Boarding House Management
For property investors interested in this evolving high returning affordable housing sector please click on the below link to download our e-book "The New Generation Boarding House Guide" for landlords.
Read my article about the evolving co-living sector.
*Letting fee (for a managed property):
First weeks rent
*Casual letting fee (landlord retains management of property):
First weeks rent value per 6 months term of tenancy
*Commercial/retail property leasing:
Equal to 1 calendar months rent + internal lease preparation cost of $350.00 (leases no more than 3 years)
Legal representation at a tribunal or court
$99.00 per hour including documentation and case preparation.
11 x real estate websites (includes realestate.com.au & domain.com.au) - $230.00 per property till leased
For lease signboards (where possible/applicable) - free of charge
Corporate relocation agency contact - free of charge
Tenant database alerts - free of charge
Social media advertising - free of charge
Mailbox drops - free of charge
Professional photography enhances the look and browsing experience for prospective tenants. After all, in a competitive place like Sydney your property is competing for attention with many others. You get the use of the photos over and over again for letting purposes, provided no major cosmetic changes have occurred to the property.
Have a look at the difference between ordinary agent in-house photos and professional photography
Check out the latest statistics on photography from realestate.com.au as voted by leading agents:-
- attracts more tenants (89%)
- increases inquiries (79%)
- increased clicks to their online listings (68%)
- secure a higher renting and selling price (52%)
Other marketing tools agents consider important are floor plans (84%), site plans (67%), copy writing (65%), virtual tours (63%), virtual furniture (56%) and property video (21%).
Professional photography package
5 x web sized shots = $130.00, additional photos at $25.00 each.
Property floor plans = $135.00 http://cryingoutloud.com.au/real-estate-floor-planner/
Virtual furniture = $69.00 per room http://cryingoutloud.com.au/property-photographer-sydney/virtual-furniture/
Professional video tours- $395.00 http://cryingoutloud.com.au/real-estate-video/
Download a brochure here:
How long does it take to rent my property?
On average at Real Property Manager our leasing turnaround is 7-10 days. But the question should really be "how fast can you rent out my property?"
Acceleration to find the right tenant really ties into our philosophy of what we call "The three P's". This is... Price, Promotion and Presentation of your property. These are the most crucial elements in quicker turnaround time of leasing your property out. We will discuss with you all three factors before marketing begins.
Generally your property is listed and on the internet within 24 hours of obtaining the photography. There is no extra cost of time wasted in writing advertising copy. We already know what works well with marketing your property, so we just get on with it.
Also unlike other agents who wait to show your property after your tenants move out, we begin inspections two weeks prior to vacancy (as allowed by law), to minimise your vacancy period.
How do you select the tenant and are we informed who is selected?
Tenant identification verified and tenant data base check done (including bankruptcy, court orders and visa status):
Free of charge https://www.tenancydatabase.com.au/
- Our philosophy on tenant selection is simple: "Better a vacant property than a bad tenant in your property"
- Tenant selection is crucial to the performance of your property. We will never rush or be pressured into choosing just any tenant for the sake of just letting it and earning a fee. We choose tenants carefully.
- A strict selection and criteria process is followed via our online application process including 100 point ID check, salary v expense analysis, rental history background, employment and tax return documentation, tenancy database check and, of course, good old sense of personal judgement that only a wealth of experience can bring.
- We use the best tenant database checking system called Equifax (formally VEDA) https://www.equifax.com/personal/ that not only does a tenancy default check but also a full credit and bankruptcy check up including verifying identification via 22 government agencies.
- You make the final decision on who you want as your tenant after after our due diligence process.
Repairs, maintenance and renovations?
Real Property Manager engages its own trades person crew that are strictly licensed,verified and insured to carry on any work under their qualifications. Via our unique Real Property Manager owner portal you will have access to tradie's quotes,historical job approvals and current progress of repairs and maintenance including photo's,communication and receipts/invoices.Your tenant has access to login and report a request for a maintenance job and the process begins for your property manager to take the next steps.In most cases your property manager can triage the situation and avoid unnecessary call out's e.g. tenant tripping a safety switch is usually caused by the tenants own faulty appliance like a toaster or hairdryer.
We also have a full renovation crew on hand if landlords require any upgrade, cosmetic or structural to their property. Our turnaround times are very fast as priority is placed to minimise vacancy.
Check out what we have done with this property in under 4 weeks....
Previous rent $600, post renovation rent $750, property revalued at $170,000 increase post a $40,000 spend.
Both major and minor repairs and maintanence is never undertaken unless authorised by the landlord unless its an emergency repair requiring action where the landlord is not contactable. Maximum expenditure by law is $1000.00 per event.Emergency repairs are classified as the following under state legislation:
Should I rent my property furnished?
There are certainly merits in furnishing your property. But the three major factors to consider are:
- Your target market or availability of tenants
- The location of your property and demand for furnished properties
- Running costs
The types of tenants furnished property appeals to include executives, white collar professionals working on contract or families that may need an interim property whilst renovating their own home. Therefore the location of your property plays a big role in attracting these types of tenants. And above all, property investors need to evaluate if there is a demand for furnished properties in their suburb or location.
A discussion with Real Property Manager and a feasibility study will determine if furnished or unfurnished is the way to go for you.
You can read a great article on this here.
How often, and how are property condition inspections conducted?
Periodic property inspections are carried out internally (strata apartments) or externally/internally (houses) every 12 months with the first inspection called a settling in inspection after the initial 3 months of the tenancy with a full written report, plus photos and video (on demand or required).
The report can be forwarded to you in hard copy or better still available to view via our online landlord portal. You will be given access to your portal once you are our client and an alert will be emailed to you once the report is ready to be viewed.
A rent review is also carried out at the same time as well as the tenancy agreement renewal instructions 60 days before expiry of the current tenancy agreement. You will be provided with a comparable market analysis of the current state of the rental market to determine whether or not the rent should stay the same or be increased. Of course entry and exit condition reports are completed on top of the routine inspections to determine the tenant's rental bond settlement.
How and when do I receive my rent and rental statements ?
Your rental statement (income and expenditure) as well as your rental funds are disbursed to you on the last day of each month. The most efficient and quickest way to receive your rental funds are by electronic funds transfer (EFT) and your statement by email. For those owners who pay their mortgages fortnightly or need quicker access to cash flow, mid-month payments can be arranged. A full financial statement is emailed to you at the end of the financial year.You can also track your rental income via your landlords portal 24/7. Watch this 2 minute tutorial...https://www.youtube.com/watch?v=Nzc8cGMuWjU
When can I have access to an online landlord portal?
At Real Property Manager we use the latest in property management software technology to deliver you the best customer experience. As our client you will have access to an online landlord portal that will give you 24/7 access to your historical statements, inspections reports, tenancy documents and scanned invoices. Click here for more information http://www.realpropertymanager.com.au/why-use-real-property-manager
For a demo please visit ...https://www.youtube.com/watch?v=4wUYfMuCrxs
Your landlord portal is switched on once you have on boarded as our new client and we have set up your file in the system.You will receive an email with a link requiring you to set up your individual password.Then you are set to go!
What is landlords insurance,do I really need it need it and is it mandatory?
There's no legal obligation for a landlord to take out a dedicated insurance policy. However, if you have a mortgage on your property it's very likely that your lender will require you to take out insurance before you take on tenants.As a property investor,you need to minimise risk. You have insurance on your home,car and even your life,so its wise to take out a landlords policy.Talk things through with your property manager about what type of policy is available and premiums involved.Landlord insurance covers several must-haves for investment property owners that are not covered by other types of home and contents insurance policies:
- Theft or burglary by tenants or their guests
- Malicious damage or vandalism by tenants or their guests
- Loss of rent due to tenant default
- Legal expenses required to evict a tenant
A good quality landlord insurance policy protects you against a number of things that other home and contents insurance policies do not cover. And the good news is that because it is an investment expense, your policy premium is tax deductible. Learn more from one of the largest landlords insurers in the country. Click or copy and paste this link https://www.terrischeer.com.au/
What happens if I decide to sell my property?
Real Property Manager has partnerships in place with the best selling agents in Sydney. These are a combination of both well known independent and franchise branded agents that excel in the market place. Should you decide you wish to sell your investment property we can assist you by introducing you to our preferred selling agent partners we like and trust to market your property. Our initial consultation with you will explain the procedure involved and due to the fact we already have a relationship with your tenant we will make sure they are well informed and that their rights and your rights are adhered to. Depending on the type of property and the appeal to either investor or owner occupier you may decide to sell the property with vacant possession. As such we would be involved in the winding up of the tenancy in preparation of going to market for sale. There is no fee payable by you to Real Property Manager should you decide to sell your investment and no penalty fees.
What are my property tax obligations and record keeping?
If you're a first time investor or already own a rental property that you receive an income from you should familiarise yourself with the basics about your legal deductions (from your taxable income) of expenses relating to the owning and operating a rental property. And there are lots of them!
The Australian Taxation Office (ATO) has terrific information and a video series about tax, claims and deductions.
You can also download The ATO Rental Property Guide
Do you offer a service guarantee?
Yes we do. Does your current agency offer a guarantee for their services? In most cases this is unlikely. At Real Property Manager if we stuff up in any way, we pay! If you are not satisfied with our service for any reason we want to know about it to resolve your issue. If you are still not happy with the outcome we will refund 1 month's management fees. No questions asked. Our management agency agreements do not lock you in for lengthy periods of time an you can opt out with 30 days notice. If we feel that you are not cooperating in line with our standards of practice, the management agreement or legislative requirements we can cancel the management agreement with 30 days notice or immediately if there is a serious breach on your part.
How do I switch agents or appoint you as my agent?
The process is actually very straightforward. Here are the steps:
- Look at your current management agreement and find out the notice period required to serve on your current agent. Normally this can be anywhere from 30-90 days time period. If your property is vacant, immediate notice can be served. If things are really bad between you and your current agent and you wish for your property to be switched immediately, there is a way out sooner and it will not cost you a cent to switch. Talk to us how.
- Contact Real Property Manager who will make arrangement to serve notice on your current property manager.
- Enter a new management agreement with Real Property Manager and discuss your expectations and instructions. We work only on exclusive management agreements with no lock-in period. Our management agreements run month to month with a 30 day termination clause.
- We'll handle the rest of the transition. You can put your feet up and relax.
- Landlords who are self-managing or appointing a property manager for the first time can reach us on [email protected] or use the contact form below.
Contact us to get started http://www.realpropertymanager.com.au/contact